To the growing interest and capital of the 1777 loan, five lacs.
When the Company's debt shall be discharged, the whole is then to be applied in discharge of the debt 1777.
If the Nabob shall be prevailed upon to apply the arrears and growing payments of the Tanjore peshcush in further discharge of his debts, over and above the twelve lacs of pagodas, we direct that the whole of that payment, when made, shall be applied towards the reduction of the Company's debt.
We have laid down these general rules of distribution, as appearing to us founded on justice, and the relative circumstances of the different debts; and therefore we give our authority and protection to them only on the supposition that they who ask our protection acquiesce in the condition upon which it is given; and therefore we expressly order, that, if any creditor of the Nabob, a servant of the Company, or being under our protection, shall refuse to express his acquiescence in these arrangements, he shall not only be excluded from receiving any share of the fund under your distribution, but shall be prohibited from taking any separate measures to recover his debt from the Nabob: it being one great inducement to our adopting this arrangement, that the Nabob shall be relieved from all further disquietude by the importunities of his individual creditors, and be left at liberty to pursue those measures for the prosperity of his country which the embarrassments of his situation have hitherto deprived him of the means of exerting. And we further direct, that, if any creditor shall be found refractory, or disposed to disturb the arrangement we have suggested, he shall be dismissed the service, and sent home to England.
The directions we have given only apply to the three classes of debts which have come under our observation. It has been surmised that the Nabob has of late contracted further debts: if any of these are due to British subjects, we forbid any countenance or protection whatever to be given to them, until the debt is fully investigated, the nature of it reported home, and our special instructions upon it received.
We cannot conclude this subject without adverting in the strongest terms to the prohibitions which have from time to time issued under the authority of different Courts of Directors against any of our servants, or of those under our protection, having any money transactions with any of the country powers, without the knowledge and previous consent of our respective governments abroad. We are happy to find that the Nabob, sensible of the great embarrassments, both to his own and the Company's affairs, which the enormous amount of their private claims have occasioned, is willing to engage not to incur any new debts with individuals, and we think little difficulty will be found in persuading his Highness into a positive stipulation for that purpose. And though the legislature has thus humanely interfered in behalf of such individuals as might otherwise have been reduced to great distress by the past transactions, we hereby, in the most pointed and positive terms, repeat our prohibition upon this subject, and direct that no person, being a servant of the Company, or being under our protection, shall, on any pretence whatever, be concerned in any loan or other money transaction with any of the country powers, unless with the knowledge and express permission of our respective governments. And if any of our servants, or others, being under our protection, shall be discovered in any respect counteracting these orders, we strictly enjoin you to take the first opportunity of sending them home to England, to be punished as guilty of disobedience of orders, and no protection or assistance of the Company shall be given for the recovery of any loans connected with such transactions. Your particular attention to this subject is strictly enjoined; and any connivance on your parts to a breach of our orders upon it will incur our highest displeasure. In order to put an end to those intrigues which have been so successfully carried on at the Nabob's durbar, we repeat our prohibition in the strongest terms respecting any intercourse between British subjects and the Nabob and his family; as we are convinced that such an intercourse has been carried on greatly to the detriment and expense of the Nabob, and merely to the advantage of individuals. We therefore direct that all persons who shall offend against the letter and spirit of this necessary order, whether in the Company's service or under their protection, be forthwith sent to England.
Approved by the Board.
HENRY DUNDAS,
WALSINGHAM,
W.W. GRENVILLE,
MULGRAVE.
WHITEHALL, 15th Oct. 1784.
Extract from the Representation of the Court of Directors of the East India Company.
MY LORDS AND GENTLEMEN,—